Carbon pricing squabble continues between Manitoba and Ottawa

Manitoba Premier Brian Pallister has been critical of Ottawa's plan to escalate their carbon tax from $20 per tonne initially to $50 in a few years.

The war of words between the Manitoba government and Ottawa over carbon pricing and a $67-million federal fund for green projects continued Tuesday.

Premier Brian Pallister rejected an assertion by federal Environment Minister Catherine McKenna that the province had yet to send Ottawa a list of proposed projects for consideration under its Low Carbon Economy Fund.

Not only has his government submitted proposals to Ottawa, he said, but the feds have rejected some of its ideas.

"Ottawa has rejected four of our proposals already -- and without good explanation," the premier said after question period.

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The war of words between the Manitoba government and Ottawa over carbon pricing and a $67-million federal fund for green projects continued Tuesday.

Premier Brian Pallister rejected an assertion by federal Environment Minister Catherine McKenna that the province had yet to send Ottawa a list of proposed projects for consideration under its Low Carbon Economy Fund.

Not only has his government submitted proposals to Ottawa, he said, but the feds have rejected some of its ideas.

"Ottawa has rejected four of our proposals already — and without good explanation," the premier said after question period.

When Pallister rose earlier in the legislature to speak about the state of negotiations with Ottawa on climate change policies, observers expected he might announce Manitoba was mounting a legal challenge to the federal carbon pricing plan.

"We will take all necessary steps to protect the interests of Manitoba consumers, Manitoba families, Manitoba businesses," he told the house, while remaining silent on any potential court action.

The premier has been especially critical of Ottawa's plan to escalate the tax from $20 per tonne initially to $50 in a few years.

Pallister told reporters talks continue between the two levels of government, although he still wasn't ruling out court action.

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"We're continuing to have that dialogue that we hope will lead to Ottawa arriving at a reasonable position — the one that we've been advocating for some time (a flat $25-a-tonne tax, with no escalator clause)," he said.

Meanwhile, a source familiar with the federal provincial talks, who was not authorized to detail them to the media, said Manitoba has indeed been discussing ideas for green projects with Ottawa, but had yet to submit a formal list of proposals.

A spokeswoman for McKenna would only say the two sides are actively talking.

"There have been early discussions between officials, and those discussions continue," wrote Caroline Thériault.

— with files from Dylan Robertson

larry.kusch@freepress.mb.ca

Larry KuschLegislature Reporter

Larry Kusch didn’t know what he wanted to do with his life until he attended a high school newspaper editor’s workshop in Regina in the summer of 1969 and listened to a university student speak glowingly about the journalism program at Carleton University in Ottawa.

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